This post so inaccurate that rumors of its existence have actually started flitting around the Ed school. Good work OP, you've made yourself legendarily ill-informed and bitter.
I am a current PhD student. Three members of my 27 person cohort (I think we are 27...could be 26 or 28...) got a masters at HGSE. I can assure you that they are not here because they 'forked over 60k to Harvard.' They are here because they are fantastic students and researchers. I don't have numbers for how many of us have a masters degree in general, but I know a lot of us don't, myself included. Certainly not 90% of us.
This is a damaging rumor to start because it could disincentivize people who are excellent candidates from applying to the program. So, to the applicants following this forum thinking about applying next year: yes, the odds are slim and there is a lot of luck involved in the acceptance process. However, if you are a strong student and researcher, you've got as good of a shot as anyone.